Gasoline: RBCL Sees Resistance At 1152, 1209

Not a lot to change here considering we basically closed yesterday sharply un-changed. That leaves today with another chance at direction. To be fair though, we went through this seasonal move last year at this time and have until Nov before we return to a rally. We‟re going back to find support here with 9666, 9523 and 9478 the best we can expect. Finding a way back to the upside, we‟ll look for resistance at 9852, 9959 and 10030. The front spread is looking to hold sideways here with support to –17, -23. Resistance will hold at –07. The flat price is going to look to stay steady fro here with a small rally to close.

Gasoline:
We‟ve moving on to RBZ3. RB is trying to fight the good fight. We‟re looking at sup-port to come in and hold 25936, 25735 and 25500. The upside will have plenty of re-sistance at 26074, 26200 and 26424. The front spread now moves to ZF. We‟re look-ing at support to hold -57, -76. Resistance –33, –10, +05. RBCL sees resistance at 1152, 1209. Support to 1086, 1042.

Trends are only for the affected:
Now if you were committed to the 10min trend yesterday, you saw the warning signs to exit yesterday morning and there‟s nothing more since. We‟re in a sideways range with the support holding the 9740 level for now. We see a ceiling and resistance in the 9850 area. The 60min chart has room to the 9700 level and then to 9600. Both will contain a sideways move here. Upside resistance looks to keep from trading above 9880.

Fundy you should mention:
I‟ll be out all day at Hart Energy “Crude in Motion” oil conference today. It will be interesting to hear all of the ideas around the transportation plays and players. We think that if there‟s anything for fund money to start looking at going forward it‟s the dynamics of domestic crudes. We have plenty of rates traders that move thousands of different vehicles every day trying to catch bps, we may have a similar market in these crude on the financial side too. There‟s more than the FOMC Announcement at 2:00pm EST where they will basically say nothing. We get ADP Payrolls (+138K) at 8:15am and CPI (0.2) at 8:30.

Sorry, I am just physically attracted:
Good luck to BP and the start of their new coker at Whiting (450K). The new unit was designed to take on Canadian heavy grades, but at this rate, they‟ll be lucky to break even on those barrels. There‟s an oil glut in the US, but that‟s not a bad thing. We‟re just now trying to figure out what to do to upgrade the refineries to process more light sweet. This is what you get when you drag your feet trying to play catch up to a heavy market that was abundant five years ago. We think that Canadian grades may catch a bid here, but that means less heavy that will make it down to the USG and that‟s going to put a little pop into those similar grades down there.

Techies, some Trekkies

200 Day MA 9872

100 Day MA 10338

13 Day MA 9929

8 Day MA 9792

14 Day RSI 36.11

Spread now; Roll later

Everything is expensive

Key support: -19, -26, -32

Key Rests: +06, +11, +18

Courtesy: Oil Outlooks and Opinions